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Health Leaders by BY JOHN COMMINS | NOVEMBER 26, 2018 The approval from New York comes with a boatload of conditions, including enhanced consumer and health insurance rate protections, privacy controls, cybersecurity compliance, and a $40 million commitment to support health insurance enrollment. KEY TAKEAWAYS CVS files notice with SEC stating that the merger will be finalized "on or about Nov. 28." Approval comes two weeks after California gave stipulation-laden approval. Feds approved the deal last month. The $69 billion deal has the potential to fundamentally change healthcare delivery. The megamerger of CVS Health Corp. and Aetna Inc. got the go-ahead Monday from New York state officials, clearing its last hurdle in a $69 billion deal that is expected to be finalized on Wednesday.The approval of New York's Department of Financial Services comes with a boatload of conditions, including enhanced consumer and health insurance rate protections, privacy controls, cybersecurity compliance, and a $40 million commitment to support health insurance education and enrollment and other consumer health protections, DFS said in a media release. "DFS listened to the concerns of the public and has obtained significant commitments from CVS and Aetna to address those concerns, ensuring that the companies hold to their promises of reduced costs and improved health care for New Yorkers, not pass on the costs of this acquisition to New Yorkers, enhance data privacy, and not act in an anti-competitive manner going forward," Financial Services Superintendent Maria T. Vullo said. "DFS will use its full regulatory authority to ensure that the companies adhere to these robust commitments and that both CVS and Aetna are held accountable for promises made to New Yorkers," she said. The approval comes two weeks after the deal cleared another [...]

HEALTHCAREDIVE- AUTHOR -Les Masterson- Nov. 13, 2018 Dive Brief: The health insurance industry is the least satisfying category in any sector, according to the latest report from the American Customer Satisfaction Index (ACSI). ASCI found that the health insurance industry's scores were flat after two years of gain. Overall, health insurers averaged a score of 73 out of a possible 100, which is the same as a year ago. Humana and Kaiser Permanente topped the survey with scores of 78. Both companies dropped by one point in 2018. Dive Insight: ASCI surveys people on the finance and insurance sector, including banks, credit unions, property and casualty insurance, life insurance, internet investment services, financial advisors and health insurance. For this year's survey, the group interviewed 25,555 customers between Oct. 2, 2017, and Sept. 26. Overall, customer satisfaction with the finance and insurance sector increased by 1.4% and reached its highest level in 24 years (78.3). "Health insurance is complicated and controversial, making it by far the most problematic and least satisfying category in the sector," David VanAmburg, managing director at the ACSI, said in a statement. Kaiser Permanente ranked No. 1 for fastest to process claims and the best prescription coverage. Humana was the leader in offering access to primary and specialty care. An interesting twist is that two companies in the middle of mergers both improved scores from 2017. Aetna increased from 74 to 75 and Cigna jumped from 66 to 73. Aetna ranked No. 1 for its mobile app. Cigna, which had the lowest marks a year ago, offered the lowest complaint rate in the industry, ACSI said. Overall, health insurance has improved access to primary care doctors (80). Access to specialty care remained at [...]

cms.gov- November 01,2018 CMS Finalizes Changes to Advance Innovation, Restore Focus on Patients Changes to the Medicare Physician Fee Schedule and Quality Payment Program will shift clinicians’ time from completing unnecessary paperwork to providing innovative, high-quality patient care. Today, the Centers for Medicare & Medicaid Services (CMS) finalized bold proposals that address provider burnout and provide clinicians immediate relief from excessive paperwork tied to outdated billing practices. The final 2019 Physician Fee Schedule (PFS) and the Quality Payment Program (QPP) rule released today also modernizes Medicare payment policies to promote access to virtual care, saving Medicare beneficiaries time and money while improving their access to high-quality services, no matter where they live. It makes changes to ease health information exchange through improved interoperability and updates QPP measures to focus on those that are most meaningful to positive outcomes. Today’s rule also updates some policies under Medicare’s accountable care organization (ACO) program that streamline quality measures to reduce burden and encourage better health outcomes, although broader reforms to Medicare’s ACO program were proposed in a separate rule. This rule is projected to save clinicians $87 million in reduced administrative costs in 2019 and $843 million over the next decade. “The historic reforms CMS finalized today move us closer to a healthcare system that delivers better care for Americans at lower cost,” said Health and Human Services (HHS) Secretary Alex Azar. “Among other advances, improving how CMS pays for drugs and for physician visits will help deliver on two HHS priorities: bringing down the cost of prescription drugs and creating a value-based healthcare system that empowers patients and providers.” “Today’s rule finalizes dramatic improvements for clinicians and patients and reflects extensive input from the medical community,” said [...]

HealthcareDive- AUTHOR -Les Masterson- PUBLISHED- Nov. 1, 2018 Dive Brief: Cigna announced Thursday its revenue increased by 9% to $11.5 billion in the third quarter and credited growth in its global healthcare and supplemental benefits segments. The Bloomfield, Connecticut-based payer's adjusted income from operations increased to $945 million from $716 million a year ago. The payer finished the quarter with nearly 16.3 million medical customers, mostly commercial members. Unlike other payers that have focused more on government health plans, Cigna has only 485,000 members in government plans but is looking at Medicare Advantage as a future growth opportunity. Dive Insight: Cigna continues to grow organically in commercial plans, differing from other payers that are expanding government plans like as Medicare Advantage and Medicaid in the quarter. One reason for Cigna's focus on commercial plans is that CMS barred the payer from the MA market for more than a year. Cigna returned to the the market last year, but missed out on some of the growth other payers have enjoyed in MA. Despite Cigna being behind other payers in MA, the company's CEO David Cordani said the payer still views the plans as an "attractive growth opportunity." Cordani added that Cigna is adding a new market in MA next year and expects a larger expansion in the area in 2020. Cigna said its third quarter revenue increase came from commercial customer growth, expanded specialty relationships and premium increases. Premiums increased from $8.1 million in Q3 2017 to almost $9 million in Q3 2018. For the year, Cigna has picked up about $3 million more in premium revenue compared to 2017. The payer finished the quarter with $27 million in premium revenue for 2018. Cigna has seen membership growth over [...]

HEALTHCARE FINANCE- Susan Morse, Senior Editor October 25,2018 The International Pricing Index model would reset Medicare payments for physician-administered drugs. President Trump on Thursday proposed to reduce prescription drug costs in a move projected to save taxpayers and patients $17.2 billion over five years. America's Health Insurance Plans commends the proposed payment model, while the American Medical Association voiced more caution. Under the proposed International Pricing Index model, Medicare's payments for select physician-administered drugs would shift to a level more closely aligned with prices in other countries. The move from current payment levels to payment levels based on international prices would be phased in over a five-year period, would apply to 50 percent of the country, and would cover most drugs in Medicare Part B, which includes physician-administered medicines such as infusions, according to the Department of Health and Human Services. HHS said it is considering a randomized approach to determine which geographies in the country would participate. The Centers for Medicare and Medicaid Services is taking comments prior to issuing a proposed rule in the spring of 2019, with a potential start in spring 2020. WHY THIS MATTERS HHS contends the model would correct existing incentives to prescribe higher-priced drugs and, for the first time, address disparities in prices between the United States and other countries. Since patient cost sharing is calculated based on Medicare's payment amount, patients would see lower costs under the model, HHS said. TREND Physicians currently purchase the drugs they administer and receive payment from Medicare at an amount equal to the average sales price plus an add-on fee. The add-on is calculated as a percentage of the average sales price of the drug. This creates several problems, HHS said. First, [...]

Beckers Hospital CFO Report- Written by Kelly Gooch | October 02, 2018 A recent investigation by the U.S. Office of Inspector General found between 2014 and 2016, Medicare Advantage organizations overturned 75 percent of their preauthorization and payment denials upon appeal. The OIG's report, released in September, found Medicare Advantage organizations overturned about 216,000 denials annually during the period. Investigators also found that independent reviewers overturned more denials at higher Medicare Advantage appeals levels. "The high number of overturned denials raises concerns that some Medicare Advantage beneficiaries and providers were initially denied services and payments that should have been provided," the agency wrote. "This is especially concerning because beneficiaries and providers rarely used the appeals process, which is designed to ensure access to care and payment. During 2014-16, beneficiaries and providers appealed only 1 percent of denials to the first level of appeal." In addition to the numbers of overturned denials, persistent performance problems related to Medicare Advantage organizations were identified by CMS audits, according to the OIG. Investigators said one example is CMS citing 56 percent of audited contracts for making inappropriate denials in 2015. They said 45 percent of contracts were also cited for providing incomplete or incorrect information in denial letters. The OIG recommended CMS step up oversight of Medicare Advantage contracts, "including those with extremely high overturn rates and/or low appeal rates and take corrective action as appropriate" and offer beneficiaries easily accessible information about serious violations by Medicare Advantage organizations. CMS agreed with the recommendations. Questions about Medicare, private Medical Insurance and health insurance reimbursement? Physician Credentialing and Revalidation? or other changes in Medicare, Commercial Insurance, and Medicaid billing, credentialing and payments? Call the Firm Services at 512-243-6844

Bloomberg - By John Tozzi- September 26, 2018, 9:01 PM PDT A new federal watchdog report warns that privately run Medicare health plans used by millions of older Americans may be improperly denying patients medical care. Federal auditors have found “widespread and persistent problems related to denials of care and payment in Medicare Advantage,” the privately administered plans that insure more than 20 million people, according to the report from the Health and Human Services Office of Inspector General. Medicare Advantage plans collect a fixed fee from the government for taking care of patients 65 or older who qualify for traditional Medicare coverage. The fixed per-patient rates the government pays may give plans “an incentive to deny preauthorization of services for beneficiaries, and payments to providers, in order to increase profits,” the report said. Medicare Advantage plans have become popular with consumers because they combine traditional Medicare benefits with additional coverage, such as vision, dental care, and prescription drugs. The program paid $210 billion to Medicare Advantage plans last year. Companies including UnitedHealth Group Inc., Humana Inc., and Aetna Inc. are the largest sellers of the coverage. Enrollment in Medicare Advantage has roughly doubled in the past decade, and one-third of Medicare patients are now covered by the private plans. In 2016, Medicare Advantage plans denied 4 percent of requests to approve treatment before it was provided, known as prior authorization, and 8 percent of requests for payment after treatment, according to the report. Only 1 percent of patients disputed the insurers’ denials, but in those cases, the decisions were overturned three-quarters of the time, according to the report. Improper denials “may contribute to physical harm for beneficiaries if they’re not getting access to services that they [...]

Benefits PRO - Susan Jaffe | September 19, 2018 at 11:07 AM Under the new rules, private Medicare insurance plans could require patients to try cheaper drugs before moving on to more expensive options. Starting next year, Medicare Advantage plans will be able to add restrictions on expensive, injectable drugs administered by doctors to treat cancer, rheumatoid arthritis, macular degeneration and other serious diseases. Under the new rules, these private Medicare insurance plans could require patients to try cheaper drugs first. If those are not effective, then the patients could receive the more expensive medication prescribed by their doctors. Related: Government drug price disclosure confirms it: costs are soaring Insurers use such “step therapy” to control drug costs in the employer-based insurance market as well as in Medicare’s stand-alone Part D prescription drug benefit, which generally covers medicine purchased at retail pharmacies or through the mail. The new option allows Advantage plans — an alternative to traditional, government-run Medicare — to extend that cost-control strategy to these physician-administered drugs. In traditional Medicare, which covers 40 million older or disabled adults, those medications given by doctors are covered under Medicare Part B, which includes outpatient services, and step therapy is not allowed. About 20 million people have private Medicare Advantage policies, which include coverage for Part D and Part B medications. Some physicians and patient advocates are concerned that the pursuit of lower Part B drug prices could endanger very sick Medicare Advantage patients if they can’t be treated promptly with the medicine that was their doctor’s first choice. Critics of the new policy, part of the administration’s efforts to fulfill President Donald Trump’s promise to cut drug prices, say it lacks some crucial details, including how [...]

Healthcare Finance -Susan Morse Senior Editor - September 10, 2018 Ruling throws out 2014 rule, leading to question of how CMS will determine whether it has overpaid an MA insurer. UnitedHealthcare wins court case over Medicare Advantage overpayment rule Ruling throws out 2014 rule, leading to question of how CMS will determine whether it has overpaid an MA insurer. UnitedHealthcare has won its court case over the way the Centers for Medicare and Medicaid Services calculates whether it has overpaid Medicare Advantage insurers. The U.S. District Court for the District of Columbia on Friday granted UnitedHealth's motion for summary judgement and vacated CMS's 2014 overpayment rule, leading to the question of how CMS will amend the rule to determine whether it has overpaid an MA insurer. CMS could also appeal the ruling. Federal Judge Rosemary Collyer said the 2014 overpayment rule was not equitable to Medicare and Medicare Advantage insurers, which is required by law. One of the issues for insurers is that the current way CMS calculates payment results in the false appearance of better health among Medicare Advantage enrollees compared to traditional Medicare participants, leading to systematic underpayments to MA insurers, according to the ruling. Judge Collyer said the current way CMS calculates payment subjects the insurers to a more searching form of scrutiny than CMS applies to its own enrollee data, resulting in a false appearance of better health among Medicare Advantage beneficiaries. Medicare pays hospitals based on the diagnosis related group, or DRG, at the time of patient discharge. Under Medicare Part B, physicians submit diagnosis codes, but payment depends on the services provided, and not on the way the diagnosis is submitted. In contrast, MA insurers are not paid based [...]

Come out and hear our owner Tia Aspra speak at 11th edition of Larry Laurent’s Chiropractic Law Seminar series on Saturday, September 8, 2018. This fall’s event will be held in Austin, at the Granduca Hotel – 320 South Capital of Texas Hwy, Bldg B, Austin, Texas, 78746 from 8:00 a.m. to approximately 5:30 p.m. Ms. Tia Aspra of Financial Investigation & Reimbursement Management and Ms. Kathy Jones of NACA - Texas, will be providing tips on risk management, coding, credentialing, documentation and office compliance practices to ensure that your new practice complies with all state and federal laws, as well as our Board’s regulatory programs. This Chiropractic Law seminar has been approved for 8 hours of CE credit, including the 4 hours of Ethics, Documentation and Jurisprudence required by the Texas Board of Chiropractic Examiners. We have kept the cost low - $198.00 for doctors, $79.00 for staff accompanying a doctor and $98 for CA/staff attending without a doctor. You will have the opportunity to obtain thousands of dollars worth of free legal information, consulting services and information on office procedures for a very low registration fee. To register give Larry Laurent a call at (512) 996-8844 or send an email to (larry@larrylaurent.com) if you have any questions. We hope to see you in Austin on Saturday, September 8, 2018.